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TARIFF DEBATE.

THE DUTY ON GRAINS PROTECTING THE GROWER. STEPS AGAINST DUMPING. By Telegraph.—Press Association. Wellington, Last Night. The House sat in committee again to-night on the schedule of the Customs Bill. On the item grain 2s per cental, Mr. O. Hawken (Egmont) contended that the duty was too high. The effect would be that North Island consumers would have to pay the tax, because Soutn Island grain would go up to the price of imported grain, plus the duty. He thought the duty should only be Is per cental. The Hon. W. Nos worthy defended the duty, stating it was only putting' the New Zealand farmer on the same footing as the Australian farmer. If the duty was not imposed there would be no inducement for farmers to grow grain for our own needs. Mr. T. M. Wilford (Leader of the Opposition), while agreeing with tne duty, claimed the admission of the Minister proved that the tariff was not out for revenue all the time, but was protective so far as the farmer was concerned. Mr. H. E. Holland (Leader of the Labor Party) protested against the increase in duty, which he said would have the effect of putting up the price of bread in New Zealand. AIM OF THE TAX. Mr. Massey said the tariff was .being so adjusted that in years when Australia produced, more wheat than she required and had wheat for export, it should not be dumped in New Zealand. They were seeking to stabilise the position so that the New Zealand farmer would be encouraged to grow wheat consistently. If we were able to duce sufficient wheat for our own use then no wheat would be imported, and no duty would be collected, so he did not anticipate that it would make the slightest difference to the cost of living.

Sir John Luke (Wellington North) contended that our policy should, be to grow sufficient wheat for local use, and farmers should have some assistance to that end.

Mr. T. K. Sidey (Dunedin South) contended we were putting' on a higher tariff against Australia than Australia put up against us.

The Hon. W. D. Stewart said Australia was only temporarily on the general tariff. They hoped to make a satisfactory reciprocal arrangement with her, and in that case the present duties might be re-adjusted. Mr. J. R. Hamilton (Ajyarua) contended that farmers had no guarantee of price for wheat beyond this year. After that it would be an open market, and the tariff was being adjusted to prevent dumping from Australia. Mr. Hawken pointed out that the tariff included other grains besides wheat. He acknowledged that wheat i should be protected, but oa?s and barley ' should not. Dairy farmers needed these grains to assist in rearing pigs, and if they could be got cheaply in the North Island they could increase the production of pork and bacon fourfold in a few years. The item was passed unamended. Mr. Holland moved that cocoa be placed on the free list. He said it wa» on precisely the same level as tea, being largely used by the people. On a division the duty was retained by 38 votes to 27. Mr. H. Atmore (Nelson) moved that coffee, roasted, be placed on the free list. The amendment was lost by 47 votes to IS.. THE DUTY ON TEA. Mr. Wilford moved that tea be placed on the free list. He said he did not propose to offer any factious opposition to the tariff, but there were several items to which the Opposition took exception, and they proposed to move amendments and call for a division. He understood the revenue raised from tea was- £120,000, but he could see several avenues by which that money could be raised, and so he moved the amendment.

Mi’. Massey pointed out that this duty on tea was not new. It was put on by the National Government and had been’on for years. It was put on when they wanted money, and they wanted money more than ever now. In view of the financial position of the country he strongly advised the House to retain the duty. Mr. Holland objected to the tea tax* because it was a specific tax. The poor man had to pay as much on his cheap tea as the rich man paid on his expensive tea. It was a clear and definite increase in the cost of living to the wage worker. 'lhe Premier said he wanted the money. Mr. Atmore suggested that preference should be given British tea, ami if that was not necessary then all tea should come in free. Mr. Veitch said the tax on tea was unwarranted and caused a great deal or hardship on a great many people. Mr. Parr said an alternative to r*e tea. tax was the reduction of the exemption on income tax. If the present exemption of £3OO was retained it was not fair to ask those earning less than £3OO per annum to contribute a small sum to the taxation of the country. After all the tax would only amount to about Id per day for a family of seven people. Mr. Massey explained that as Minister of Finance he was being constantly asked for large sums for public purposes. Within the last few years they had considerably increased pensions and the superannuation funds, and he would like to do more in this direction, but until finances returned to normal this could not be done. He must have the money which this duty would give him. Mr.’ G. Mitchell (Wellington South) admitted that the Premier must have the money, but this was the wrong way to get it. The tax on silks should have been retained and the tax on tea remitted. After a number of speakers had sug- , gested various ways in which the ' money required cdiihl be made np a division was taken on Mr. Wilford’s amendment, which was lost by 37 votes to 28. Considerable objection was taken to the protection given to the candle industry, as having the effect, of increasing the cost of the poor man’s light, but the item was passed. Mr. Holland moved that “fish, potted and preserved” be placed on the free list on the ground that it was an article of ' food not produced in the Dominion. The amendment was lost by 41 votes to 17. 1 Mr. P. Fraser (Wellington Central)

moved that dried fruits be placed on the free list. The Minister defended the duty on the ground that it would be the basis of negotiation with Australia on the reciprocal agreement. We imported a great many raisins, etc., from Australia, but pending an agreement being come to this duty was suspended. Mr. Massey said at present dried fruits were free, the proposed duty being suspended, and if negotiations with Australia, failed they would remain free. The Minister might have power to impose a duty in that case, but he would not do it. Tiie amendment was lost by 36 votes to 23. Mr. Sidey moved that fresh fruits be placed on the free list. Mr. Massey said Australia had .shut out fruit from Fiji only and then the market for that fruit was New Zealand, and we would shortly be supplied with oranges and bananas in a way we never had them before. After further discussion the amendment was lost by 39 votes to 19. Mr. Holland moved that infants’ and invalids’ food be admitted free. The amendment was lost by 36 votes to 20. A similar fate befell his proposal to place malt extract on the free list. Tha House rose at Lin a.szx.

Permanent link to this item
Hononga pūmau ki tēnei tūemi

https://paperspast.natlib.govt.nz/newspapers/TDN19211202.2.43

Bibliographic details
Ngā taipitopito pukapuka

Taranaki Daily News, 2 December 1921, Page 5

Word count
Tapeke kupu
1,278

TARIFF DEBATE. Taranaki Daily News, 2 December 1921, Page 5

TARIFF DEBATE. Taranaki Daily News, 2 December 1921, Page 5

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